KAZAKHSTAN
A giant at the heart of the Central Asia





Mr. Paxton,
President of Air Astana


 
Could you please give us an overview and future vision of the transportation sector in Kazakhstan?

I cannot tell you about the whole transportation sector but I can tell you about aviation. There have been many difficulties in the aviation sector since the break up of the Soviet Union. Sometimes newly created airlines had only one airplane. In general, the reputation of the aviation was not of a high standard. Due to the poor standards, it was decided to create an airline of European standards. This led to the creation of Air Astana.

Air Astana is a very young airline company. Could you still give us a brief historical background?

Air Astana was created in September 14th, 2001. In August 2001 I was approached and asked if I would like to be part of this new project but unfortunately I was already working on something different in Germany. Then I heard that another person had been appointed as President and had started working for Air Astana in November last year but he decided to leave for personal reasons in April this year. I was again approached in April this year and the timing was more appropriate for me and as I already had left my other company was able to join Air Astana in May, just before the first flight that took place on the 15th of May 2002.

You already told us that the first flight was May 15th, 2002. Could you please elaborate a little bit more about this flight?

The first flight operated from Almaty to Astana and was met by Mr. Massimov, Deputy Primer Minister. Commercial operations then started to Aktau and Aktobe. The presentation took place on 10th of June at Astana as this was also the Fifth Anniversary of founding of Astana City. We were very proud and honoured that the President of Kazakhstan, Mr. Nazarbayev, came to the airport where we had two aircraft on the ground for our presentation. The Chairman of BAE Systems who own 50% of the company was also there. They both made speeches and we were very honoured.

Could it be possible to give us more information on Air Astana's operations today? What kind of services do you have?

We operate three New Generation Boeing 737s. Two of them are Boeing 737-700's that have 20 business class seats and 94 economy class seats. We also have a Boeing 737-800, which is a little bit larger. It has 20 business and 136 economy seats and is mostly used to fly between Almaty to Astana where we make 20 round trips a week. The Boeing 737-700's operate 3 times a week to Aktobe and 5 times a week to Aktau from Almaty with two services routing via Astana that provides a link between Astana and Aktau.
We are also serving Dubai twice weekly. I see potential on this route because people would like to go shopping there and it would be very convenient. Besides myself we have foreigners in the roles of Vice Presidents for Engineering and Maintenance: Service Delivery and shortly in the role of Flight Operations.We have three other Vice Presidents for External and Corporate Affairs; Finance and IT and Commercial who are Kazakhs.

Could you please elaborate more on your clients? In general, who are your clients?

To and from Astana, our clients are businessmen and government officials. To the west we carry businessmen and oil and gas people. To Dubai, there are mostly shoppers and holiday makers. I would like to see more people going to Dubai for short breaks - even for the weekend. I think that we'll also have tourists from Dubai visiting Kazakhstan which has much to offer and very beautiful places to see.

You already mentioned some routes. Do you have others, what about Moscow?

We commenced services to Moscow on the 16th September with daily flights from Almaty and in addition we provide three services from Astana to Moscow each week. We fly to Sheremetievo Airport in Moscow to Sheremetievo 1 Terminal which offers good connections to points beyond Moscow.
Our Moscow service leaves Almaty in the evening and arrives in goods time to let passengers have a good night in Moscow before starting work the next day. Our Moscow service from Astana, which connects with our flight from Almaty, operates a daytime service for those passengers who prefer to arrive during the day time. We are pleased to announce the commencement of our most recent route to Beijing, China that commenced on the 3rd December. We serve Beijing twice weekly.

What plans do you have for the future?

Yes, we do have plans but we need more aircraft. We wish to operate to Atyrau and Uralsk and are looking forward to this next stage of our expansion which will also give us the aircraft capacity to serve other domestic and international points. We plan to follow this with the introduction of smaller jets or turboprop aircraft to serve the domestic regional feeder routes.
Timing wise, we intend to built a good foundation for our operations and then expand. We are not trying to run before we can walk.

Could you elaborate on your competition? What do you think about Air Kazakhstan?

I understand that following a Government decision Air Kazakhstan will continue to operate and the 50% shareholding that has been owned by Kazkommertzbank will be purchased by the Government. In Air Astana we will focus on our own operation and improve our business and look forward to our own expansion.

How do you situate yourself in the local market?

I do not want to sound arrogant but we are trying to deliver a western standard of service both operationally and to our customers which has previously not existed in Kazakhstan. We are working towards the achievement of JAR-145 with regard to our Engineering and Maintenance performance and to the JAR-Ops standards. To my knowledge there are no other airlines in Kazakhstan that are working towards these standards.

Which are your most important routes?

The most important routes are between Almaty-Astana and Almaty-Moscow. We are achieving acceptable load factors on all our routes but would be happy to see higher traffic volumes on the Astana to Moscow route.

What was your biggest challenge?

Our most difficult challenge has been to obtain all official approvals to operate to Moscow. We have received excellent support from Mr. Nigmatullin N.Z., the Deputy of Minister of Transport and Communications with responsibility of aviation, who has greatly helped us to operate.

Could you tell us about your professional background?

I have spent 35 years working for British Airways mainly overseas where I had responsibility for both commercial and operational areas. I have been fortunate to have been involved in almost all aspects of airlines except for flying and engineering. I have also spent a further seven years as a consultant and my background in BA and as a consultant has given me a great deal of experience that I hope to be able to bring to the benefit of Air Astana. The airline industry I believe is a "people business" and I believe I am a "people person".

Could you give a final message to our readers?

Kazakhstan is an extremely well kept secret and I am personally delighted that through your publication you will be able to tell people a little about the country. It is a beautiful country but its greatest attribute I feel are its people. Overall I believe Kazakhstan has enormous potential in the years to come. I very much hope that Air Astana will firstly serve the people of Kazakhstan, secondly to act as a good ambassador for Kazakhstan to the places we operate to and thirdly through our efforts improve the air transport scene and contribute to the developments of Kazakhstan's economy and growth.
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